February 29, 2012
Up, Down, And Back Again In South Beach
…this whole thread is about REO as indicator. Is it not? Socketsite said it "just might speak" to that. Baloney. It is an REO. REO as trend? LOL.
Having been purchased from the developer for $880,000 in December 2006, 41 Federal #42 had become bank-owned in September 2007 and sold for $700,000 the following May.
Purchased for $1,150,000 in October 2006, two months before the first sale of #42, 41 Federal #21 has just returned to the market listed for $1,149,000.
∙ Listing: 41 Federal #21 (2/2) 1,365 sqft - $1,149,000 [Redfin]
∙ Going Once, Going Twice…Going Five Times At Shore|Line: 41 Federal [SocketSite]
∙ San Francisco Bucks CA Foreclosure Trends, But Not In A Good Way [SocketSite]
Like 8,000 New Tech Jobs Expected This Year In San Francisco
According to a poll by the newly formed San Francisco Citizens Initiative for Technology & Innovation (sf.citi), their 125 member companies are expecting to hire "like 8,000 new jobs this year and counting," according to Ron Conway, sf.citi’s founding Chairman.
∙ Tech companies hiring 8,000-plus in San Francisco [Business Times]
An Apple For The Contractor That Has Everything
As we wrote last month:
First listed for sale in 2008 asking $738,000, the list price for 469 Valley was reduced four times over the following two years. The dilapidated home finally sold for $500,000 in 2010.
Today, the Noe Valley view property which is currently uninhabitable returned to the market as a "cozy cabin that needs everything" asking $579,500.
The sale of 469 Valley closed escrow on Monday with a reported contract price of $590,000, 18 percent over 2010 for the teardown. We'll let you know when the permits are filed.
Inside An Uninhabitable "Cozy Cabin" [SocketSite]
February 28, 2012
Ooh And Ahh (And Ouch)
As we first reported with respect to 1422 Douglass this past September:
Purchased for $925,000 in 2007, the single-family Noe Valley home at 1422 Douglass returned to the market two weeks ago listed for $875,000 while noting: "Be prepared to ooh and aah (sic) over this charming Victorian home that packs a big impression."
On Friday, the list price for 1422 Douglass was reduced to $849,000. We’re not sure if that’s an "ooh" or an "ahh," but we do know that's 8 percent ($76,000) below its 2007 sale price on an apples-to-apples basis.
The sale of 1422 Douglass closed escrow on Friday with a reported contract price of $775,000, 16.2 percent ($150,000) below its 2007 sale on an apples-to-apples basis.
Once again, based on PropertyShark’s stats, the median price per square foot for neighborhood single-family homes dropped 19 percent from 2008 to 2011, down 8 percent from 2010 to 2011. The drop from 2007 through 2011 was 16.4 percent.
∙ Ooh, Ahh...And Now Reduced For The Noe Apple At 1422 Douglass [SocketSite]
∙ A Quintessential Noe Valley Apple Falls Into Our Cart [SocketSite]
S&P/Case-Shiller San Francisco: Homes Slip, Condos Dip In December
According to the December 2011 S&P/Case-Shiller Home Price Index, single-family home prices in the San Francisco MSA fell 0.8% from November ’11 to December '11, down 5.4% year-over-year, down 41.1% from a peak in May 2006.
For the broader 10-City composite (CSXR), home values fell 1.3% from November to December, down 3.9% year-over-year, down 33.8% from a June 2006 peak.
With this month’s report we saw all three composite hit new record lows. While we thought we saw some signs of stabilization in the middle of 2011, it appears that neither the economy nor consumer confidence was strong enough to move the market in a positive direction as the year ended.
After a prior three years of accelerated decline, the past two years has been a story of a housing market that is bottoming out but has not yet stabilized. Up until today’s report we had believed the crisis lows for the composites were behind us, with the 10-City Composite originally hitting a low in April 2009 and the 20-City Composite in March 2011. Now it looks like neither was the case, as both hit new record lows in December 2011. The National Composite fell by 3.8% in the fourth quarter alone, and is down 33.8% from its 2nd quarter 2006 peak. It also recorded a new record low.
In general, most of the regions also posted weak data in December. Eighteen of the cities saw average home prices fall in December over November. Seventeen of the cities have seen monthly declines for at least three consecutive months. In addition to both monthly composites, 10 of the cities saw home prices fall by more than 1.0% during the month of December. The pick-up in the economy has simply not been strong enough to keep home prices stabilized. If anything it looks like we might have reentered a period of decline as we begin 2012.
On a month-over-month basis, prices were up for the bottom third of San Francisco price tiers, up nominally for the middle, down nominally at the top.
The bottom third (under $311,666 at the time of acquisition) rose 0.9% from November to December (down 4.6% YOY); the middle third rose 0.3% from November to December (down 7.1% YOY); and the top third (over $573,705 at the time of acquisition) fell 0.4% from November to December, down 1.4% year-over-year (versus a 1.9% in November).
According to the Index, single-family home values for the bottom third of the market in the San Francisco MSA have dropped to May 2000 levels having fallen 60% from a peak in August 2006, the middle third has dropped below March 2002 levels having fallen 42% from a peak in May 2006, and the top third has dropped to January 2004 levels having fallen 26% from a peak in August 2007.
Condo values in the San Francisco MSA fell 1.9% from November '11 to December '11, down 7.3% year-over-year, down 37.0% from a December 2005 peak.
Our standard SocketSite S&P/Case-Shiller footnote: The S&P/Case-Shiller home price indices include San Francisco, San Mateo, Marin, Contra Costa, and Alameda in the "San Francisco" index (i.e., greater MSA) and are imperfect in factoring out changes in property values due to improvements versus appreciation (although they try their best).
∙ Case-Shiller: All Three Home Price Composites End 2011 at New Lows [Standard & Poor's]
∙ S&P/Case-Shiller San Francisco: Homes Dip, Condos Slip In November [SocketSite]
February 27, 2012
Salesforce.com Kills Mission Bay Campus, Open To Offers For Land
Poised to receive Planning's approval to move forward with the first four buildings at the center of their proposed 14-acre campus in South Mission Bay this week, Salesforce.com has just killed any near-term plans for the massive development.
According to the Business Times, Salesforce "needs space faster than it can build it and thus will focus its efforts on expanding into existing buildings in downtown San Francisco."
"We just took a look at our long term and really our short term needs. The reality is we are going to need the square-footage before we can build it," said Bruce Francis, Salesforce vice president of corporate strategy. "We came to the conclusion this is the way to go."
While there are no immediate plans to sell the Mission Bay land that Salesforce bought in late 2010 for $278 million, Francis expressed openness to offers.
∙ First Four Salesforce.com Campus Buildings Poised For Approval [SocketSite]
∙ Salesforce suspends plans for huge San Francisco campus [Business Times]
∙ Salesforce.com Acquires 14 Mission Bay Acres To Build 2 Million Feet [SocketSite]
∙ Piers 30-32 Dropped From AC34 Development Plan, Lawsuit Filed [SocketSite]
Piers 30-32 Dropped From AC34 Development Plan, Lawsuit Filed
Following weeks of contentious negotiations, the America’s Cup Event Authority is dropping Piers 30-32 from its development plans and giving up its claim on Seawall 330, the undeveloped lot adjacent to the Watermark. Race teams will now be berthed at Pier 80.
At the same time, having unsuccessfully appealed the Planning Commission’s certification of the Environmental Impact Report for the venue work necessary to host the 34th America's Cup in San Francisco, "Waterfront Watch" has since filed a lawsuit in an attempt to block, or at least delay, any race related development.
Former San Francisco Board of Supervisors president Aaron Peskin is listed as a petitioner in the lawsuit, which appears to have been filed as leverage to renegotiate the terms of the City's Host Agreement with race organizers.
Originally scheduled to be reviewed by San Francisco’s full Board of Supervisors tomorrow, a vote on the new new terms of the old host agreement is on hold.
∙ Pier Pressure And The Price San Francisco Taxpayers Might Pay [SocketSite]
∙ San Francisco’s Last Minute Giveaways To Get The America’s Cup [SocketSite]
∙ Appealing The Impact Of The America's Cup In San Francisco [SocketSite]
∙ Lawsuit filed over key America's Cup environmental report [Examiner]
∙ Rendering Scoop: San Francisco's Major America’s Cup Venues [SocketSite]
A Quintessential Noe Valley Apple Falls Into Our Cart
As we originally reported, the "quintessential renovated and expanded Noe Valley home" at 4245 23rd Street was purchased for $1,700,000 in September 2004 and returned to the market listed for $1,795,000 last month.
As we also noted at the time, based on PropertyShark’s stats, the median neighborhood price per square foot for single-family homes is up 11 percent since 2004 having increased 37 percent from 2004 to 2008 but then dropping 19 percent from 2008 to 2011, and having dropped 8 percent from 2010 to 2011.
This past Friday, the sale of 4245 23rd Street closed escrow with a reported contract price of $1,820,000, up 7 percent since 2004 on an apples-to-apples basis.
∙ Quintessential Noe Valley (And Price Per Square Foot Trend) [SocketSite]
Do You Gotta Have (137) Faith?
Purchased for $650,000 in July of 2005 with a first mortgage for $417,000, a second for $125,000 and $108,000 down, a year ago a notice of default was first filed for the property at 137 Faith, the first mortgage for which was already $19,666 past due at the time.
Postponed once before, tomorrow the small northern Bernal Heights home is once again scheduled to hit the courthouse steps with $447,041 owned on that first as of this past July.
As we reported back in 2009, the short sale of 110 Faith Street closed escrow with a reported contract price of $550,000 that September, 24% under its $720,000 purchase price recorded in October 2005.
Gotta Have Shouldn’t Have Had Faith: The Follow-Up [SocketSite]
Before And After And Back On The Market At 2828 Jackson
Purchased as a 3,747 square foot "sleek contemporary Pacific Heights home" for $3,325,000 in 2007, the original 1980’s façade and interior of 2828 Jackson are history.
Now, an "exquisitely renovated contemporary" 2828 Jackson Street is back on the market in 2012 listed for $4,200,000 with all new fixtures and finishes in place.
And yes, in addition to four bedrooms, there's a bit of indoor-outdoor living to boot.
∙ Listing: 2828 Jackson (4/4.5) - $4,200,000 [2828jackson.com]
February 24, 2012
First Four Salesforce.com Campus Buildings Poised For Approval
The four buildings will yield 1,488,996 square feet, 1,254,551 of which will be office space, 41,363 ground floor retail, and 6,000 square feet for childcare. 1,394 parking spaces will be built underground while parking for 260 bikes will be spread between the four buildings.
A four-acre open plaza will be at the center of it all.
Supportive of Salesforce’s overall plan, two design requests by way of the Mission Bay Citizens Advisory Committee: to be "thoughtful about where the brightest accent colors are placed, as they will be visible to the occupants of surrounding buildings" and "sensitive about rooftop uses, visible from Potrero Hill."
∙ Salesforce.com Campus Key Elements And Design Preview [SocketSite]
∙ Designs For Salesforce's Global Headquarters Complex in Mission Bay [SocketSite]
∙ A Bit Of Color On (And For) Salesforce's Campus In Mission Bay [SocketSite]
A Remodeled 444-446 Roosevelt Returns As A Single-Family Home
Apples to apples, 444-446 Roosevelt Way was purchased for $2,100,000 in early 2008, relisted for $1,750,000 in early 2011 with permits to excavate, expand, and remodel in place, and sold for $1,300,000 this past July.
Now an orange, it’s a plugged-in reader that notices the since remodeled Corona heights home has just returned to the market as 446 Roosevelt and listed for $2,650,000 as a single-family home.
As the building, and the house next door, looked before:
U.S. New Home Sales: Up 3.5% In January Year-Over-Year
The seasonally adjusted annual pace of new single-family home sales in the U.S. fell to 321,000 in January, down 0.9 percent from a revised rate of 324,000 in December but 3.5 percent above the 310,000 pace recorded in January 2011.
Preliminary U.S. new home sales (versus pace) in January were estimated to be 22,000 (give or take 9 percent), down 1,000 from December, the second slowest January on record since 1963. January sales peaked in 2005 with 92,000 new homes sold.
In the West, the pace of new home sales was up 5.6 percent year-over-year to 76,000 in January, down 10.6 percent versus the month before.
∙ New Residential Sales: January 2012 [census.gov]
∙ New Residential Sales Since 1963 [census.gov]
∙ U.S. New Home Sales: Up 9.8% Year-Over-Year In November [SocketSite]
∙ U.S. New Home Sales: Down 7.3% In December Year-Over-Year [SocketSite]
Millennium Tower Apples-To-Apples Take Two
With Millennium Tower 70 percent sold and sales volume picking up, we turn our attention to a one-bedroom apple to be in the building.
Purchased for $884,000 in March of 2010, 301 Mission Street #17C hit the market this past October listed for $849,000 before being withdrawn from the MLS in December.
Today, the 833 square foot corner condo was listed anew for $849,000 and with an official one day on the market once again.
∙ Listing: 301 Mission Street #17C (1/1) 833 sqft - $849,000 [Redfin]
∙ Millennium And One Hawthorne 70% Sold, Madrone Closings In July [SocketSite]
Millennium And One Hawthorne 70% Sold, Madrone Closings In July
San Francisco’s Millennium Tower has hit the 70 percent sold mark, recently averaging $1,075 per square foot with 130 condos left to sell, as has One Hawthorne with 55 condos left to move. Over in South Mission Bay, Madrone has 90 of 211 Phase One condos in contract with actual closings starting in July.
∙ Condo market springs to life [Business Times]
∙ Millennium Tower: "Confidential Investment Opportunity" (And Sales) [SocketSite]
∙ One Hawthorne: The SocketSite Straight Scoop (And Sales Update)
∙ Madrone: T-Minus Two Months To Official Grand Opening [SocketSite]
Apples-To-Apples And A Quick Foreclosure Flip At 855 Folsom
As we first reported in December:
Purchased for $649,000 six years ago, returned to the market in December 2008 asking the same but withdrawn from the market in February 2009, by January of 2010 the then owner of 855 Folsom #102 was $22,813 pas due on a $519,200 first mortgage alone.
Last month, the Yerba Buena Lofts one-bedroom sold on the courthouse steps to a third party at the opening offer of $433,500 cash. Today, 855 Folsom #102 returned to the open market listed for $519,000, twenty (20) percent below its sale price in 2005.
The sale of 855 Folsom #102 closed escrow yesterday with a reported contract price of $519,000, a nice foreclosure flip, but 20 percent below 2005 on an apples-to-apples basis.
∙ Apples To Oranges And Back To Apples At 855 Folsom [SocketSite]
∙ 855 Folsom Apple On The Tree: Will It Be Déjà Vu All Over Again? [SocketSite]
February 23, 2012
It’s Time To Reminisce Of Seasons Past And Drool Over Modern Design
Perhaps we simply can’t help but be drawn to images of Squaw with a decent dumping of snow, reminisce of seasons past, and keep our fingers crossed for the future. Regardless, we do have a crush on the Strawn.Sierralta designed house at 254 Granite Chief Road.
Finished on the first of January, 2010, the five-bedroom property is now being rented for an advertised $5,000 a night in the winter or $2,500 a night in the summer.
We’ll let you negotiate which season it should be considered right now.
Look Past The Overhyped Facebook Effect
Forget the overhyped Facebook effect (a.k.a. "buy now or be priced out forever 2.0") and simply turn your attention to the S&P 500 which closed the day at 1,363.05, just below its April 2011 high of 1,363.61 (its highest close since June 2008) and the Dow’s 12,986.81, its highest close since May 2008.
UPDATE (2/24): The S&P 500 closed the day at 1,365.74, its highest close since June 2008.
∙ What's The Point? [SocketSite]
It's Not This Mid-Century Modern Noe Valley Home That Was Flawed
As plugged-in people know, the 1,810 square foot Albert Lanier designed Mid-Century Modern home at 4378 Cesar Chavez hit the market this past November priced at $1,100,000 or $608 per square foot for the designer Noe Valley home with views.
At the time of its listing, the average single-family Noe home was selling for well over $800 per square foot. Lo and behold, 4378 Cesar Chavez, the unidentified poster child of a recent Chronicle report, quickly sold for $1,540,000 ($851 per square) with 23 offers.
It’s funny how that happens.
According to the Chronicle’s Carolyn Said, the architecturally significant Mid-Century Modern home "looked like a 1980s Tahoe cabin," one of the "flaws" that led Realtor Bernard Katzmann to price the property so far below market.
∙ Channeling Mid-Century Modern Flair At 4378 Cesar Chavez [SocketSite]
∙ It Would Have Been 50 Percent Over Had They Priced At A Million... [SocketSite]
∙ The SocketSite Reality Check For CBS’s Infamous "42 Offer" Home [SocketSite]
∙ Yes, yes, Noe Valley, say eager S.F. home buyers [SFGate]
Say Hello To Your Little Friend (In The Shower) At 1507 Noe
Purchased for $785,000 in 2006, plans to raise the 1,050 square foot home at 1507 Noe Street to create a garage and add two stories were approved in 2009. And today, a modern 1507 Noe has returned to the market with 3,400 square feet and listed for $2,750,000.
The "modern and sleek finishes" include limestone, marble, various woods (including Danish Douglas Fir and walnut), and plenty of glass from which to see (and be seen).
Speaking of which, will we see you at the housewarming?
∙ Listing:1507 Noe Street (4/3.5) 3,400 sqft - $2,750,000 [Vanguard]